MapmyIndia surges 53% on debut; did you miss the rally

Digital mapping company CE Info Systems, popularly known as MapmyIndia, made a strong debut on the domestic bourses on Tuesday. The stock of MapmyIndia was listed at a premium of 53% at ₹1,581 apiece on the BSE, against the issue price of ₹1,033 per share. On the National Stock Exchange (NSE), MapmyIndia shares opened at ₹1,565, a gain of 51.5% over the offer price.

The strong listing was very much in line with market expectations, thanks to the stellar IPO subscription and healthy financials. Experts believe that the company is well-positioned to tap the high-growth digital mapping market.

Post listing, shares of the company gained as much as 53.6% to hit a high of ₹1,586.85 in early deals on the BSE. Paring some of the opening gains, the stock was trading 34.1% higher at ₹1,385 at the time of reporting. There was a spurt in volume trade as 4.62 lakh shares changed hands over the counter in the first hour of trade, while market capitalisation surged to ₹7,374.15 crore.

Meanwhile, the benchmark BSE Sensex was trading 1.2% higher at 56,509 points, while the NSE Nifty was quoting at 16,826, up 1.28%.

MapmyIndia raises ₹1,039.6 crore via IPO

MapmyIndia, backed by global wireless technologies firm Qualcomm and Japanese digital mapping Zenrin, raised ₹1,039.6 crore through public listing of its shares. The New Delhi-based firm provides proprietary digital maps as a service (MaaS), software as a service (SaaS) and platform as a service (PaaS), and location-based IoT technologies.

The IPO was a complete offer for sale (OFS) by existing shareholders and promoters including Rashmi Verma, Qualcomm Asia Pacific, and Zenrin Co. The issue garnered a strong response from investors, with the offer getting fully subscribed within a few hours of the opening and by 154.7% on the final day of bidding. The issue opened for subscription between December 9 to December 13. The shares were available for subscription in a price band of ₹1,000-1,033 in multiples of 14 equity shares and multiples thereafter.

The IPO of the digital mapping company received a robust response from all types of investors, with a quota for non-institutional buyers subscribed 424.69 times. The portion reserved for qualified institutional investors was subscribed 196.36 times, while the quota for retail investors was booked 15.20 times.

The company had appointed Axis Capital, JM Financial, Kotak Mahindra Capital Company, and DAM Capital Advisors as the book running lead managers to the offer, and Link Intime India as the registrar of the issue.

Ahead of the IPO, the company had raised around ₹312 crore from anchor investors, including some big names such as Goldman Sachs, Morgan Stanley, Fidelity, Nomura, SBI Mutual Fund, HDFC Mutual Fund, HSBC, ICICI Prudential Mutual Fund, among others.

Founded in 1995, the technology company provides maps and location technologies to global tech giants, new-age consumer internet technology companies, leading automotive manufacturers, large businesses across industry segments such as BFSI, telecom, FMCG, industrials, logistics and transportation, and key government organisations. Its clients include some big players including HDFC Bank, Airtel, Flipkart, PhonePe, Hyundai, MG Motor, Safexpress, and Goods and Service Tax Network (GSTN).